lithium brine explorer & developer - ion energy

TSX-V: ION

OTCQB: IONGF

FEBRUARY 2021www.ionenergy.ca @IonEnergyLtd @IonEnergyLtd_

Mongolia’s First

Lithium Brine Explorer & Developer

LEGAL DISCLAIMER

This presentation includes certain statements that may be deemed "forward looking statements". All statements in this presentation,

other than statements of historical facts, that address events or developments that Ion Energy Ltd. (the "Company“) expects to occur,

are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not

always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar

expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.

Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions,

such statements are not guarantees of future performance and actual results may differ materially from those in the forward looking

statements. Factors that could cause the actual results to differ materially from those in forward looking statements include market

prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or

business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or

developments may differ materially from those projected in the forward looking statements. Forward looking statements are based on

the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by

securities laws, the Company undertakes no obligation to update these forward looking statements in the event that management's

beliefs, estimates or opinions, or other factors, should change.

The information provided in this presentation is not intended to be a comprehensive review of all matters and developments

concerning the Company and should be read in conjunction with the other disclosure documents of the Company. The information

contained herein is not a substitute for detailed investigation and analysis. No securities commission or regulatory authority has

reviewed the accuracy or adequacy of the information presented.

Technical Disclosure

The technical information in this presentation has been approved by Khurel Lamzav, P. Geo of the Company and a QualifiedPerson as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

www.ionenergy.ca @IonEnergyLtd @IonEnergyLtd_(TSX-V: ION) FEBRUARY 2021

MONGOLIA’S EMERGING LEADER IN LITHIUM EXPLORATION & DEVELOPMENT

CORPORATE OVERVIEW

Holds 100% interest in the Baavhai Uul and Urgakh Naran Lithium Brine Projects,

with a combined area of over 100,000 hectares (247,000 acres) located in Mongolia.

We have the distinction of having the first lithium brine licence ever granted in Mongolia.

Exploration efforts underway.

THE WORLD IS GOING ELECTRIC

ION Energy is ready for the 3rd wave of the clean energy revolution

& the increased Lithium demand

STRATEGIC ADVANTAGE

Fully-funded to continue aggressive growth strategy

Strong in-country team

Proven track record

Superior geographic location

ION ENERGY

@ionenergy.ca

FEBRUARY 2021(TSX-V: ION) www.ionenergy.ca @IonEnergyLtd @IonEnergyLtd_

ION Energy:

Ready for Third Wave of World’s Clean Energy Revolution

LITHIUM: POWERING THE FUTURE

“Global demand for lithium to increase eight-fold to 2030, as Electric Vehicle (EV) adoption increases and battery sector expands.” - Bloomberg

“Banks that manage one-third of all global capital (47 trillion USD) have committed to moving towards greener practices and divesting in fossil fuels.” - Reuters

EV SALES REACHED

RECORD LEVELS DURING LOCKDOWN

CHINA LOOKS TO DRIVE

INTO THE AMERICAN EV MARKET

ELECTRIC

CAR PRODUCTION

EU ADDS LITHIUM TO

CRICTICAL RAW

MATERIALS LIST - MINING.COM

THE #GLOBAL ELECTRIC VEHICLE

(EV) BATTERYMARKET WILL GROW BY $44.24 BN

DURING 2020 - 2024, ACCORDING TO

@TECHNAVIO

22%

INCREMENTAL GROWTH

44.24%

2019 2024

www.ionenergy.ca @ionenergy.ca @ionenergy.ca SEPTEMBER2020(TSX-V: ION) www.ionenergy.ca @IonEnergyLtd @IonEnergyLtd_ FEBRUARY 2021

http://www.ionenergy.ca/

ION ENERGY

THE BAAVHAI UUL LITHIUM BRINE PROJECT:

+81,000 HECTARE (almost 200,000 acre) HIGHLY-PROSPECTIVE SITE.

EARLY RESULTS:

All holes drilled contain significant levels of Lithium

Average grade 426 ppm Lithium

Maximum grade 811 ppm Lithium

High evaporation and low precipitation endorheic

basin, no outflow to external bodies of water


ION Energy’s BAAVHAI UUL PROJECT

LARGEST EXPLORATION LICENCE EVER GRANTED IN MONGOLIA

GEOLOGICAL PROFILE:

Low potassium and magnesium ratios: favorable for large crystal formation at license altitude and

temperature

Aquifers 20m below surface: Cretaceous volcanic and sedimentary rocks are the most suitable aquifer

for the enrichment of lithium (light green areas)

Brine vs hard rock sources = lower production costs

Gobi Desert: arid environment with high evaporation rates

(TSX-V: ION) www.ionenergy.ca @IonEnergyLtd @IonEnergyLtd_ FEBRUARY 2021

ION’s EXPLORATION PROGRAM:


COMMENCED OCTOBER 2020

Geophysics CSAMT - focus on targets L-11 (12 line-KM) and L-8 (8 line-KM), with soundings at 50m spacing.

The CSAMT survey will start by identifying brine aquifers, followed by reflection seismic work to identify structure.

Auger drilling to commence Q2 2021.


ION ENERGY

URGAKH NARAN: RISING SUNSolidifying our commitment to the world’s Green Revolution,

as Mongolia’s leading lithium explorer & developer

The Urgakh Naran Lithium Brine Project covers an area of almost

20,000 hectares (+49,000 acres) of highly prospective lithium

terrain, situated in the arid and infrastructure rich region of the South

Gobi Desert.

LITHIUM MINERALIZATION:

Previous work conducted at this project has included a substantial

Hydro-chemical sampling program of identified shallow lithium in

brines. Although early stage, this program was highly successful in

identifying multiple targets for follow up exploration.


ION’s STRATEGIC ADVANTAGE:

EXPERIENCED MANAGEMENT TEAM

ALI HAJICEO, DIRECTOR

Director of Antler Hill Mining Ltd and Spirit Banner II Capital

Corp. 13+ years international experience (asset management,

risk analysis and program governance).

Advisor to ATMA Capital Markets Ltd and Steppe Gold

TSX:STGO. BSc from University of Western Ontario.

MATTHEW WOODCHAIRMAN OF THE BOARD

Chairman of Steppe Gold TSX:STGO, Founding Chairman of

Avanco Resources (sold in March 2018 for AUD$440M) and

Hunnu Coal (sold for USD$500M in 2012).

BATAA TUMUR-OCHIRDIRECTOR

A Mongolian Citizen that serves as CEO and Director of

Steppe Gold TSX:STGO.

Mr. Tumur-Ochir is an advisor to the Ministry of Mining and

Heavy Industry, holds a Bachelor’s degree in business

administration and graduate certificates in international

business and marketing from Australia and Singapore.

ANEEL WARAICHDIRECTOR

EVP and Director of Steppe Gold TSX:STGO, Director of Antler

Hill Mining Ltd, CEO of Spirit Banner Capital Corp, Founder of

ATMA and ATMACORP with experience in investment

banking at Dundee.

MBA from Goodman Institute of Investment Management at

John Molson School of Business.

ENKHTUVSHIN KHISHIGSURENDIRECTOR

Over 30 years of Mongolian mineral experience for multi-

nationals. Credited for having discovered several

prospective gold, molybdenum and copper deposits,

including the Olon Ovoot multimillion ounce gold deposit.

JOHN McVICAR, CPA, CACHIEF FINANCIAL OFFICER

A senior Finance executive with more than 30 years of

experience in both industry and professional services. John

most recently served as Partner, Advisory Services at EY for

almost two decades, and in other senior Finance roles prior to

that. He also holds the Chartered Professional Accountant

designation.


Page 10



EXPERIENCED ADVISORY BOARD

www.ionenergy.ca @ionenergy.ca @ionenergy.ca SEPTEMBER2020

PAUL FORNAZZARI

Mr. Fornazzari has been involved in the lithium industry

since 2008 with the creation, as its initial Chairman, of

Lithium Americas Corp. (currently in mine construction with

its partner Ganfeng Lithium; $970B market cap) and

securing its initial strategic investments from Mitsubishi

and Magna International, which helped launch this world

class lithium brine asset. Subsequent thereto, Paul was a

director of Neo Lithium Corp. (currently at the feasibility

study stage). Paul has been involved in the resource

industry for many years, gaining insight and experience in

the company creation process through various directorships

and as legal counsel. Currently, Paul is a partner at the law

firm Fasken Martineau DuMoulin LLP, where he is head of

Latin America for the Global Mining Group.

He holds a Masters of Law from Osgoode Hall Law School

in Securities Law and a Bachelor of Law from the University

of Windsor. Paul is a member of the TSX Venture Exchange’s

National Advisory Committee.

DON HAINS

Mr. Hains is President of Hains Engineering

Company Limited and Principal of Hains

Technology Associates. He is an industrial minerals

exploration and economic geologist with more

than 30 years of experience in exploration,

development, use and analysis of industrial

minerals properties and materials. He has a

particular focus on critical and energy related

minerals such as lithium. He has worked on

projects throughout the world, including lithium

and other industrial minerals projects in China and

Mongolia.

His lithium experience encompasses all types of

deposits, processing routes and stages of project

development from exploration through to plant

construction. He has written numerous NI 43-101

technical and due diligence reports on lithium

projects in Canada, the United States, South

America, Africa, Europe, the Middle East and Asia.


Page 11

DR. KHASHBAT DASHTESEREN

Dr. Dashteseren is a geologist and scholar with an

extensive amount of experience exploring various

minerals in Mongolia and has served with the Urban

Development for the Department of Urban

Development and Investment in Mongolia. Dr.

Dashteseren was also the Chief Geologist at Geolink

LLC before moving on to hold the role of Chief

Executive Officer. Following that, Dr. Dashteseren

worked as an Exploration Manager for Resource

Partners Group. He has also spent a considerable

amount of time researching laboratory analysis

methods for lithium at the Akita University in Japan.

Dr. Dashteseren holds a PhD in Lithium

Mineralization from the Mongolian University of

Science and Technology, Ulaanbaatar, and is a

Professional Geologist accredited by the Mongolian

Professional Institute of Geology and Mining as well

as a Professional Engineer accredited by the

Mongolian Ministry of Mineral Resources and Energy.



STRONG IN-COUNTRY TEAM WITH A PROVEN TRACK RECORD

Management successfully operating in Mongolia for over a decade.

A total of 100+ years of combined mining and exploration experience

Delivering outcomes for investors.

Hunnu Coal

A$20m IPO

2010

Steppe Gold

C25m IPO

2018

Hunnu Coal

A$500m Cash Sale

2011


Page 12

ION Energy

C$2.7m IPO

2020



STRONG GEOGRAPHICAL LOCATION

Low cost and year-round operating environment

Infrastructure rich location in Mongolia

30km by road to Mongolia-China border crossing

Strong location advantage over South American producers: Mongolia set to become a major player in the lithium sector


Page 13


Why ION Energy’s Mongolian site is a Geographic Advantage

China is the world leader in manufacturing lithium batteries, and continues to outpace the globe in demand for EVs

Korea, Taiwan and Japan’s large tech industries will continue to fuel demand for lithium batteries.

China dominates megafactories: 89 of 123 of the world's megafactories in the pipeline are in China, with one megafactory being built per week" (Benchmark Mineral Intelligence – 2020)

CHINA’S ELECTRIC-VECHICLE MARKET IS THREE TIMES THE SIZE OF THAT OF EUROPE OR THE UNITED

STATES

Light EV Sales, by region, thousand units (% share of EV market)


Page 14


WHY MONGOLIA?

Mongolia’s mining industry contributes towards 20% of the nation’s GDP & 80-90% of its

export

Neighbour to two giant markets: China & Russia

Low transportation costs to Chinese battery markets

No historical exploration in battery metals

Government prioritizes an investment-friendly environment:

Mongolia’s People Party (MPP) won another resounding victory in 2020, with a majority four-year mandate

Low corporate income tax and government royalty obligations

Government anti-investment regulations revoked in 2014

Proactive and effective nationwide approach to Covid-19, creating opportunities for businesses with in-

country presence

Untapped and unlimited potential for lithium:

No historical exploration in and new, under-explored frontiers for battery minerals

Geologically well-endowed and high quality exploration land assets


Page 15



AGGRESSIVE GROWTH STRATEGY

UPCOMING CATALYSTS

August 2020: Commenced trading on the TSX-V: ION

September 2020: Couloir Capital announces research coverage of further exploration efforts

October 2020: Exploration program commences

Stonegate Capital initiates research coverage

MAJOR MILESTONES ACHIEVED

January 2019: Licence granted to ION Energy by Mongolian government

August 2020: Completed qualifying transactions and ensured appropriate funding for exploration efforts

BASIC COMMON SHARES OUTSTANDING 48,525,671

WARRANTS @ 40C (Exp. Aug 31, 2022) 9,063,329

OPTIONS @ 32c (Exp. Oct 21, 2025) 3,000,000

OPTIONS @ 55c (Exp Feb 3, 2022) 685,000

FULLY DILUTED SHARES OUTSTANDING 61,467,431

SHARE PRICE (Feb 16) USD $0.50 / CAD $0.63

MARKET CAPITALIZATION (C$) USD $24.7 M / CAD $30 M

www.ionenergy.ca @ionenergy.ca @ionenergy.ca SEPTEMBER2020

ION Energy Ltd – OTCQB: IONGF, TSXV: ION


36%

Page 9

*Insiders and management are escrowed for 24 months/2 years (Aug 31, 2022)

ION ENERGY – OWNERSHIP

Management & Insider Ownership* 36%

Mongolian Investors 8%

Family Offices 6.8%

Spartan Funds 3%

Alphanorth Asset Management 2%

Maxit Capital 2%

January 2021: Commenced trading on OTC QB

Q1 2021: New licence acquisition & early exploration results from Baavhai Uul

Q1 2021: Coverage being initiated by US based Equity Research Group

Q2 2021: Commence exploration on additional licence and mobilize Diamond Core Rig to Baavhai Uul

Q3 2021: Advanced results from Baavhai Uul exploration with early resource indication

Q4 2021: Advance talks with Strategics



COMPARABLES

Page 17

- Price target: $0.88c – January 2021- CouloirCapital

- Price target: $0.96c – January 2021- FRC

- Comparable companies and the implied valuations offer a wide range from C$94 EV/Hectare to C$3,868 EV/Hectare with a median of C$646. This compares to ION Energy at C$291EV/Hectare.

- Stonegate Capital



ION Energy:

Mongolia’s Emerging Leader in LITHIUM Exploration

and Development

INVESTMENT SUMMARY:

Commodity with high global demand

Superior geographic location in Mongolia and promising early results

Fully-funded to continue aggressive growth strategy

Strong in-country team and proven track record

Low cost production profile

Well-positioned to create shareholder value


Page 16


ALI HAJICHIEF EXECUTIVE OFFICER

EMAIL: [email protected]

TEL: +1.647.951.6508

ADDRESS: 400-90 ADELAIDE ST W TORONTO, ON M5H 3V9

lithium brine explorer & developer - ion energy

Documents